Which event terminates an offer due to the destruction of the subject matter?

• A. Lapse of time
• B. Revocation by the offeror
• C. Rejection by offeree
• D. Destruction of the subject matter

Answer: (D)

Destruction of the subject matter ends an offer because there is nothing left to transfer or perform, so acceptance cannot create a binding contract. When an offer invites acceptance to form a contract, that opportunity lasts only while the thing being exchanged still exists and can be exchanged. If the item is destroyed before someone accepts, there’s no subject matter to which the contract could apply, so the offer terminates automatically. This stands in contrast to lapsing (the offer expires after a set time), revocation (the offeror withdraws the offer before acceptance), or rejection (the offeree declines the offer); each ends the opportunity to accept for different reasons, but destruction specifically makes performance impossible, thereby terminating the offer.